Latest Bitcoin Correction Does Little to Offset Bullish Bias; Is $20K Next?

Latest Bitcoin Correction Does Little to Offset Bullish Bias; Is $20K Next?


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Bitcoin is showing signs of continuing its bullish momentum despite a recent sell-off that it experienced after soaring towards $18,500.

The flagship cryptocurrency’s latest downside correction has met with an equal resistive buying sentiment near local lows. As a result, its price against the dollar has rebounded on multiple breakdown attempts, creating a structure that appears like a Bull Pennant.

Bitcoin forms an upside continuation pattern. Source: BTCUSD on TradingView.com Bitcoin forms an upside continuation pattern. Source: BTCUSD on TradingView.com The Bullish Structure

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In retrospect, a Bull Pennant is a bullish continuation signal that forms during an asset’s uptrend. It shows traders with a short-term risk appetite liquidate their positions for an interim profit. Meanwhile, those with a long-term appetite prepares to reload their positions at local support levels.

That reduces the bid for the asset, overall, causing a correction. But as the price consolidates, forming lower highs and higher lows, it represents higher accumulation sentiment from the long-term

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